QUESTION $1$

Company $x$ produces electronic gadgets. Their fixed costs amount to $$120,000.$ The selling price per gadget is $$50.$ They are considering two different production methods which will result in different variable costs. If the variable cost per unit for Method A is $$20$ and for Method B is $$30,$ which method results in a lower breakeven point?

Method A

Method B

Both methods result in the same breakeven point

Information is not enough to decide